10 Jan

Home Value = $100,000 Two Financing Alternatives

by jagguarpaw On: Finance - 0 Comment

Question: 21. Home Value = $100,000 Two Financing Alternatives…

21. Home Value = $100,000

Two Financing Alternatives

#1: 90% Loan to Value, 10.5% Interest Rate, 30 Years

#2: 80% Loan to Value, 10% Interest Rate, 25 Years

If you can invest $10,000 on investment that gives you IRR of 15% yearly, which of the two Financing Alternatives is better for you? Show your decision steps.

Tags: Home Value = $100000 2 Financing Alternatives, Home Value = $100000 Two Financing, Home Value = $100000 Two Financing Alternatives Share

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